HDFC Bank — Home loan interest rate - fraud reported - but no reply

Address:	Faridabad, Haryana, 121001
Website:	www.hdfc.com

Complaint submitted on 15-apr-2017 -
Below are contents of my complaint which i had submitted to hdfc and nhb (Grids portal) but even after lot of follow up no one responding -

Floating rate home loans – interest rate is auto floating only for upward revision – in case downward revision – need to apply manually along with fee – big violation of law
I am writing this complaint to highlight the unethical practice followed by hdfc ltd
Issues are as follows:-

I have taken inr 19.5 l floating interest rate home loan. At the time of loan issue on mar, 2013, the roi was @10.05%. Spread - 6.25%. Rplr at that time was 16.3%.

On 11th apr, 2017, came to know that hdfc ltd is offering roi @ 8.50% with spread - 7.65% (For new customers) and kept the rplr at 16.15% (With minute change). So the new customers (With same/similar credit risk) will get the loan at 8.50% while the old customers (Including me) need to pay at the same rate of 9.90%. This way hdfc ltd. Is not honouring agreement of keeping the rate variable as per market.

Historically as well hdfc ltd. Haven’t passed on the benefits of falling interest rates to the customers. On the other hand hdfc ltd. Have always been front runner in increasing the rate. Whenever there was repo increase by rbi, hdfc ltd increase there roi but against repo decline hdfc ltd. Rarely acted upon.

As per update given to me by hdfc ltd representative, if i need to reset my rate as per current offers, i need to pay inr 3736 /-, which means if i will pay this amount, hdfc ltd will make my rate spread of -7.5 % (Which is at present -6.25%) at current rplr of 16.15% i. E. Effective roi to me will be 8.65%,

But why? Our loan agreement is variable then why do i need to pay this fee? In other words hdfc is asking me a fee to honour there part of the agreement that is to reset the rates as per market. It is completely wrong, illegal and baseless. Also why roi is 8.50 % for new borrowers and for existing it like me it is 8.65 % that also of fee.

So i request authorities to take required action against all these unethical practices followed by hdfc ltd. Executives, so that my loan rate could be corrected retrospectively as per change in market rate since beginning of agreement.

Regards,

Ca. Mohit goyal | [protected]@gmail.com |
Loan a/c no.[protected]

Enclosures –
1. My loan details along with comparative analysis of change in hdfc rates and rbi repo rate change.
2. Nhb circulars – which clearly mentioned hfc’s & banks to avoid these practices of cheating end customers.